SAP Digital Manufacturing Boosting Competitiveness

Optimising production processes and increasing competitiveness is key to success for modern Australian manufacturing businesses. With Digital Manufacturing leading the way to boost the performance of operations by leveraging real-time data, analytics, and machine learning, enabling improved decision-making processes, reducing costs, increasing efficiency, as well as enhancing quality.

With our experience in providing digital manufacturing solutions to businesses of all sizes including those in FMCG manufacturing our primary focus remains on improving competitiveness through the optimisation of shopfloor production and integration.

SAP Digital Manufacturing (DM) contributes to competitiveness in 6 key areas; real-time visibility, optimising production planning and execution, enhancing quality control, increasing OEE, supporting sustainability targets and enabling automation and industry 4.0.

Let's start with real-time visibility into the production floor and how it contributes to elevating competitiveness. SAP DM enables monitoring of shop floor operations, tracking key performance indicators (KPIs), and identifying bottlenecks or issues as they arise. This visibility helps operators make data-driven decisions and take timely corrective actions, leading to improved operational efficiency and help reduced downtime.

Optimising production planning and execution can be achieved by leveraging out-of-the-box integration with your SAP ERP, enabling comprehensive analysis of manufacturing processes. This will of course lead to enhanced productivity, reduced costs, and delivery of higher-quality products to market faster by continuously improving processes, helping to identify opportunities for optimisation, such as reducing cycle times, eliminating waste, and streamlining workflows.

Looking at how to boost competitiveness with quality management capabilities has always been high on the list of wants for any manufacturing operation as it impacts both profit and brand reputation. SAP DM enables the implementation of robust quality control measures throughout the production lifecycle. It provides tools for monitoring and analysing quality metrics, tracking non-conformances, and initiating corrective and preventive actions. By ensuring consistent product quality, manufacturers can enhance customer satisfaction, reduce rework or recalls, and build a reputation for reliability.  Batch management can also be used for Raw Material Consumption and Final Product production, to enable end-to-end traceability.

The industry benchmark for the modern manufacturer is Overall Equipment Effectiveness (OEE), having the ability to first record data to calculate it and then manage it to optimise it is essential. By integrating real-time production data, manufacturers can monitor equipment performance, availability, and quality rates with any deviations or inefficiencies quickly identified, allowing for immediate corrective actions to improve OEE and maximise productivity.

The last two key areas we want to cover in this blog are sustainability and automation / industry 4.0. Pressure to deliver sustainable products is increasing and SAP DM supports sustainable manufacturing practices by helping to optimise energy usage, reduce waste, improving operational efficiency, enhancing supply chain sustainability, enabling compliance, and fostering collaboration. By leveraging data and analytics, manufacturers can make informed decisions to reduce their environmental impact and deliver on their sustainability goals. Many of our customers know they want to automate and benefit from industry 4.0 initiatives but aren't sure where to start. SAP DM enables real-time data collection from various manufacturing assets, including machines, sensors, and production lines. By connecting these assets to SAP Digital Manufacturing, manufacturers gain visibility into their operations at a granular level. Real-time monitoring allows them to detect anomalies, identify bottlenecks, and make data-driven decisions promptly. This data can also be used for predictive maintenance, reducing downtime, and optimising equipment utilisation.

Manufacturers' pathway to boosting competitiveness is by optimising production processes, reducing costs, increasing efficiency, and enhancing quality control. 

The key is accessing and leveraging real-time data and analytics, enabling data-driven decisions that drive operational excellence and deliver efficiencies as well as superior customer experience. Technology is the enabler in the manufacturing toolkit to unlock business value and boost competitiveness.